RBC Looks to Dividend Post Stella The RBL refinancing is as expected; however, we see the corporate facility as positive endorsement of Ithaca’s financial strength and outlook. A key goal of the refinancing was to reduce restrictions on distributions of unallocated capital. This has been achieved with the new facilities that allow Ithaca “to consider the optimal allocation of future cash flow” once the Stella development is onstream next year. Although this is not an explicit commitment to initiating a shareholder return policy, we see this as a key step in the direction of a capital constrained growth model. Following completion of the Stella development in mid 2014 Ithaca is set to become a 25,000boe/d North Sea producer, generating material levels of free cash flow.
Read more at https://www.stockhouse.com/companies/bullboard/t.iae/ithaca-energy-inc?postid=21810270#0Oc6pIYcQwRHCf13.99 A key goal of the refinancing was to reduce restrictions on distributions of unallocated capital. This has been achieved with the new facilities that allow Ithaca “to consider the optimal allocation of future cash flow” once the Stella development is onstream next year. Although this is not an explicit commitment to initiating a shareholder return policy, we see this as a
key step in the direction of a capital constrained growth model. Following completion of the Stella development in mid 2014 Ithaca is set to become a 25,000boe/d North Sea producer, generating material levels of free cash flow.